Although the 2019 fiscal year has not yet ended, banks have fervently announcing profits for the whole year.
Specifically, Vietnam International Commercial Joint Stock Bank (VIB) estimated to attain more than four trillion dong of profits in 2019, up by 150 percent than the figure realised in 2018. This is the bank’s record high level.
Meanwhile, according to announcement of Saigon Thuong Tin Commercial Joint Stock Bank (Sacombank), closing the year 2019, the bank’s key operational indicators have exceeded the plan. The bank’s profit is expected at 3.180 trillion dong, 20 percent higher than the plan committed to the bank’s general Meeting of Shareholders. Sacombank is estimated to attain 457 trillion dong of total assets, 413 trillion dong of mobilisation, 296 trillion dong of outstanding credit. The bank’s bad debt ratio has fallen to less than two percent.
By the end of November 30th 2019, the profit picture of An Binh Commercial Joint Stock Bank (ABBank) was fairly positive with 1.107 trillion dong of pre-tax profit, completing 91 percent of the year plan; and 94.259 trillion dong of total assets, up by 4.021 trillion dong compared to the beginning of the year. The bank’s bad debt was well controlled at 1.8%.
At Vietnam Thuong Tin Commercial Joint Stock Bank (VietBank), the minimum pre-tax profit target was set at 500 billion dong at the beginning of the year. After the first three quarters, the bank achieved 429 billion dong of pre-tax profit and expected to have more than 650 billion dong in pre-tax profit after deducting provisions for risks at the end of the year.
Meanwhile, leader of Nam A Commercial Joint Stock Bank (NamABank) said that the bank’s pre-tax profit target this year is 800 billion dong, and has been completed. In the first nine months of 2019, NamABank recorded 574 billion dong of pre-tax profit. Its net interest income and income from service activities grew fairly well in the first three quarters, reaching respectively 1.5 trillion dong and 58 billion dong, up by respectively 25.5 percent and 69.4 percent compared to the same period of last year.
For Commercial Joint Stock Bank for Agriculture and Rural Development of Vietnam (Agribank), the pre-tax profit was 10.350 trillion dong after the first 10 months of the year, exceeding the year plan of 10 trillion dong set at the beginning of the year. By the end of October 2019, Agribank recorded 1,400 trillion dong in total assets; 1,290 trillion dong in mobilisation fund; 1,056 trillion dong of outstanding loans to the economy, in which lending to agriculture and rural areas was 68.3%, equivalent to 722.039 trillion dong. According to the 2019 plan, Agribank will attain at least 11 trillion dong in profit.
Representative of another state-owned bank also said that by the end of 2019, the bank estimated to reach 1,135 trillion dong of total mobilisation fund; about 1,090 trillion dong in total outstanding loans; and more than 10 trillion dong in profit (or more).
Meanwhile, Commercial Joint Stock Bank for Foreign Trade of Vietnam (Vietcombank) is forecasted to soon complete this year’s profit target when recording 17.250 trillion dong of pre-tax profit in the first nine months of the year, up by 51.9 percent compared to the same period of 2018, completing 85.4 percent of the 2019 plan. With the current profit growth, Vietcombank’s operating results are expected to exceed 20 trillion dong of pre-tax profit set for the whole year.
Representatives of Asia Commercial Joint Stock Bank (ACB) and Military Commercial Joint Stock Bank (MB) also said that the two banks are likely to exceed the 2019 profit targets. MB’s consolidated profit is expected at 10 trillion dong.
Leader of Orient Commercial Joint Stock Bank (OCB) also said that with the pre-tax profit target of 3.2 trillion dong set in 2019, the bank has the basis to complete it. In the first nine months of the year, OCB attained more than two trillion dong of pre-tax profit.
Despite attaining positive profits in 2019, bank leaders also said that there is great pressure in 2020 when the charter capital increases while credit target is lowered. However, financial experts said that lowering the credit target is necessary to gradually reduce the dependence of businesses on bank credit, especially real estate businesses.
